With interest rates stagnant – and perhaps moving south bonds may become an interesting option for some investors. Though I am not a great lover of bonds, I do hold some in my Dad’s portfolio. If you are investing in bonds, look out for the following: 1. Are there call and put options – if [...]
Yesterday, I did an unscientific, one question poll with a bunch of people I know. My question to them was “In capital market training (debt, equity, etc.) largely a trainer led training, what is the ideal class size – for it to be effective. The average no. that i have got is about 24. Here [...]
If you have wondered what is a CDO, CMO, CP, CD…welcome to the first lesson. A commercial paper is a short term unsecured negotiable issuance promissory note instrument issued by corporate bodies to meet short term requirements of working capital. It was issued for the first time (I think) in 1991 – maturity varies from [...]
Again for a Saturday……to quote Busybee…here is a nice story… The biggest problem for people with small amounts of capital is that they may not be liquid long enough to hold on to their conviction. If for example you feel the salaries of the unorganised sector, the organised sector and the financial services sector should [...]
Two or three days ago I had done a post saying “golden rules of investing”. Today I am going to add a few more: 1. Do not abdicate financial understanding: “I trust my adviser” is not always a statement of faith. In many cases I know, it is a matter of laziness or convenience. Do [...]
Government guaranteed bonds are medium to long term bonds (securities) issued by government agencies and in some cases by PSU (public sector undertaking). The interest and the principal in such instruments is guaranteed by the Central Government or the State Government. Since most state government guarantees mean nothing, largely people buy these bonds because there [...]